HHS OCIO awards $7.6M SIEM support contract to ISENPAI LLC under full and open competition

Contract Overview

Contract Amount: $7,653,134 ($7.7M)

Contractor: Isenpai LLC

Awarding Agency: Department of the Interior

Start Date: 2024-09-03

End Date: 2026-09-02

Contract Duration: 729 days

Daily Burn Rate: $10.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: TIME AND MATERIALS

Sector: IT

Official Description: DEPARTMENT OF HEALTH AND HUMAN SERVICES (HHS) OFFICE OF THE CHIEF INFORMATION OFFICER (OCIO) FOR THEIR SECURITY INFORMATION AND EVENT MANAGEMENT (SIEM) SUPPORT SERVICES REQUIREMENT

Place of Performance

Location: MCLEAN, FAIRFAX County, VIRGINIA, 22102

State: Virginia Government Spending

Plain-Language Summary

Department of the Interior obligated $7.7 million to ISENPAI LLC for work described as: DEPARTMENT OF HEALTH AND HUMAN SERVICES (HHS) OFFICE OF THE CHIEF INFORMATION OFFICER (OCIO) FOR THEIR SECURITY INFORMATION AND EVENT MANAGEMENT (SIEM) SUPPORT SERVICES REQUIREMENT Key points: 1. Contract awarded via full and open competition, suggesting a competitive bidding process. 2. The contract is for Security Information and Event Management (SIEM) support services. 3. ISENPAI LLC, the awardee, will provide services for a period of 729 days. 4. The contract type is Time and Materials, which can pose cost control challenges. 5. The Department of Health and Human Services (HHS) is the primary beneficiary agency. 6. The contract value of $7.6M is spread over two years, indicating moderate annual spending. 7. The award is a Delivery Order, suggesting it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract.

Value Assessment

Rating: fair

Benchmarking the value of this $7.6M contract requires more context on the specific SIEM support services provided. Time and Materials contracts can sometimes lead to higher costs if not closely managed, compared to fixed-price contracts. Without detailed service scope and performance metrics, a direct comparison to similar contracts is difficult, but the duration and total value suggest a moderate investment for essential cybersecurity support.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

This contract was awarded under full and open competition, indicating that all responsible sources were permitted to submit a bid. The presence of 4 bidders (no) suggests a reasonable level of competition for these specialized SIEM support services. This competitive environment is generally favorable for price discovery and potentially securing better value.

Taxpayer Impact: A competitive award process helps ensure that taxpayer dollars are used efficiently by driving down prices through market forces.

Public Impact

The primary beneficiaries are the Department of Health and Human Services (HHS) agencies requiring robust cybersecurity monitoring. Services delivered include support for Security Information and Event Management (SIEM) systems, crucial for threat detection and response. The geographic impact is primarily within Virginia (VA), where the contractor is located, and potentially wherever HHS operates its IT infrastructure. Workforce implications include the potential for skilled cybersecurity professionals to be employed by ISENPAI LLC to fulfill this contract.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Time and Materials (T&M) contract type can lead to cost overruns if not meticulously managed and monitored.
The specific scope of 'SIEM support services' is broad and requires clear definition to ensure value for money.
Reliance on a single awardee for critical security functions necessitates strong performance management and contingency planning.

Positive Signals

Awarded through full and open competition, indicating a robust and fair bidding process.
The contract addresses a critical cybersecurity need (SIEM support), aligning with government-wide security priorities.
The duration of the contract (729 days) provides stability for service delivery and planning.

Sector Analysis

The cybersecurity services market, particularly for Security Information and Event Management (SIEM), is a significant and growing sector within the broader IT services industry. Government agencies increasingly rely on SIEM solutions to monitor vast networks, detect threats, and comply with security mandates. Spending in this area is driven by the escalating sophistication of cyber threats and the need for continuous monitoring and rapid incident response. Comparable spending benchmarks would depend on the specific SIEM platform and the level of support required, but multi-million dollar contracts for comprehensive support are common.

Small Business Impact

This contract was not set aside for small businesses (ss: false, sb: false). As a result, large businesses or those with significant resources were likely the primary participants in the competition. There is no explicit mention of subcontracting requirements for small businesses, which could limit opportunities for the small business ecosystem in this specific award. Future contract actions or related procurements might offer set-aside opportunities.

Oversight & Accountability

Oversight for this contract will likely fall under the Department of Health and Human Services (HHS) Office of the Chief Information Officer (OCIO). Accountability measures will be tied to the performance standards within the Time and Materials contract and the delivery order terms. Transparency is generally facilitated through contract award databases, though detailed performance metrics may not be publicly available. Inspector General jurisdiction would apply in cases of fraud, waste, or abuse.

Related Government Programs

HHS Cybersecurity Support Services
Federal SIEM Solutions
IT Security Services Contracts
Department of Health and Human Services IT Modernization

Risk Flags

Potential for cost overruns due to Time and Materials contract type.
Lack of specific details on SIEM platform and required support scope.
Need for robust performance monitoring to ensure value for money.

Frequently Asked Questions

What is this federal contract paying for?

Department of the Interior awarded $7.7 million to ISENPAI LLC. DEPARTMENT OF HEALTH AND HUMAN SERVICES (HHS) OFFICE OF THE CHIEF INFORMATION OFFICER (OCIO) FOR THEIR SECURITY INFORMATION AND EVENT MANAGEMENT (SIEM) SUPPORT SERVICES REQUIREMENT

Who is the contractor on this award?

The obligated recipient is ISENPAI LLC.

Which agency awarded this contract?

Awarding agency: Department of the Interior (Departmental Offices).

What is the total obligated amount?

The obligated amount is $7.7 million.

What is the period of performance?

Start: 2024-09-03. End: 2026-09-02.

What is the specific SIEM platform or technology ISENPAI LLC will be supporting?

The provided data does not specify the exact SIEM platform or technology ISENPAI LLC will be supporting. Security Information and Event Management (SIEM) is a category of software that provides real-time analysis of security alerts generated by applications and network hardware. Common SIEM solutions include Splunk, IBM QRadar, LogRhythm, and Microsoft Sentinel. The nature of the support (e.g., configuration, maintenance, threat analysis, incident response) will depend heavily on the specific platform in use by HHS OCIO. Understanding the platform is crucial for assessing the technical expertise required and benchmarking the labor rates within the Time and Materials structure.

How does the $7.6M contract value compare to historical HHS spending on SIEM support?

To compare this $7.6M contract value to historical HHS spending on SIEM support, one would need access to HHS's historical procurement data for similar services. This contract, valued at approximately $7.65 million over two years (729 days), represents an average annual spend of roughly $3.8 million. Without prior contract awards for SIEM support from HHS OCIO or other relevant HHS divisions, a direct historical comparison is not possible from the given data. Analyzing trends in cybersecurity spending across HHS and other federal agencies could provide broader context, but specific comparisons require detailed historical contract databases.

What are the key performance indicators (KPIs) for this SIEM support contract?

The provided data does not detail the specific Key Performance Indicators (KPIs) for this SIEM support contract. Typically, for SIEM support, KPIs would focus on metrics such as Mean Time to Detect (MTTD) threats, Mean Time to Respond (MTTR) to security incidents, the accuracy and reduction of false positives in alerts, system uptime and availability, and the successful implementation of security policies and configurations. The Time and Materials nature of the contract suggests that performance will be monitored through task orders and deliverables, with oversight ensuring that the labor hours billed align with the achievement of defined objectives and service levels.

What is ISENPAI LLC's track record with federal SIEM support contracts?

Information regarding ISENPAI LLC's specific track record with federal SIEM support contracts is not detailed in the provided data. To assess their experience, one would typically review past performance evaluations, previous contract awards, and the scope of services they have delivered for other government agencies. A search of federal procurement databases (like SAM.gov or FPDS) could reveal prior contracts held by ISENPAI LLC. Their ability to win this contract under full and open competition suggests they met the minimum qualifications, but a deeper dive into their performance history is necessary for a comprehensive assessment.

What are the potential risks associated with a Time and Materials contract for cybersecurity services?

Time and Materials (T&M) contracts, like this one for SIEM support, carry inherent risks, primarily related to cost control. Since payment is based on direct labor hours and the cost of materials, there's a risk of cost overruns if the scope of work expands or if work is not performed efficiently. For cybersecurity services, this could mean higher-than-anticipated expenses for threat monitoring and incident response. Effective oversight, clear task definitions, and robust monitoring of labor hours are critical to mitigate these risks and ensure the contract remains within budget and delivers expected value.

Industry Classification

NAICS: Professional, Scientific, and Technical Services › Computer Systems Design and Related Services › Computer Systems Design Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Offers Received: 4

Pricing Type: TIME AND MATERIALS (Y)

Evaluated Preference: NONE

Contractor Details

Address: 1751 PINNACLE DR, MC LEAN, VA, 22102

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Limited Liability Corporation, Small Business, Special Designations, U.S.-Owned Business, Woman Owned Business, Women Owned Small Business

Financial Breakdown

Contract Ceiling: $20,766,133

Exercised Options: $7,682,793

Current Obligation: $7,653,134

Actual Outlays: $4,894,255

Contract Characteristics

Commercial Item: COMMERCIAL PRODUCTS/SERVICES

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS35F480GA

IDV Type: FSS

Timeline